What Will Donald Trump Do To Your Mortgage?
When Donald Trump first started running for President of the United States, many thought it was a joke. When he started winning, many still dismissed his campaign as something of a sideshow, and predicted that more traditional candidates would easily defeat him.
Of course, we now know this has not proven to be the case. As of this writing, Donald Trump is easily the frontrunner for the GOP nomination, and the threats of a fractured Republican party having a brokered convention are high.
So what does all of this mean for you? And more importantly, what does it mean to your finances, and things like your mortgage? If Trump wins, things could get interesting. But even if Trump doesn’t win, he’s already shaken everything up to a degree, and there’s no going back.
There’s one word I want you to remember – Volatility. Because above everything else, that’s what Trump has brought. He’s shaken up the establishment so much, and proven that many Americans, whether you personally agree with them or not, are incredibly fed up - fed up with politics, fed up with the establishment, and fed up with each other, really.
All of this points to a very uncertain future. It’s not so much the policy of any one candidate or party or ideology – it’s more the unsettled nature of the country that Mr. Trump’s campaign has revealed (no partisan judgement here, mind you. His campaign didn’t create any unsettlement – it just shined a light on it.)
It’s this writer’s opinion that the unsettled nature and volatility is going to continue. And while the most optimistic amongst us things everything will turn out fine economy-wise, I think we’re in for some big waves. Thus, when talking about long term commitments like mortgages, I’m far more comfortable with a fixed-rate mortgage than a variable rate one. I just see a lot of yelling in our future, and for myself, am far more comfortable with knowing what my rates are.
If you have a variable rate mortgage, it’s time to address that. Because waves coming, my friend.